The SNP have conceded that they will not win the Glasgow North East by-election.
SNP campaign coordinator Stewart Hosie, MP for Dundee East, said: "We are on course to achieve our best result in this constituency for 35 years. It appears that this has not been enough."
It is now widely believed the BNP will finish third in the by-election ahead of the Lib Dems and the Conservatives.
The official turnout for the by-election was announced as 33.02%. That figure made it the lowest turnout in Scottish by-election history, falling below the 36% who voted in the Falkirk West by-election in 2000.
With 62,475 eligible to vote, that means that just 20,629 used their vote. To retain their deposits, parties will have to gather at least 1,031 votes.
The news came as Mr Bain arrived at the count at 00.05am to loud cheers from supporters.
The Labour candidate was surrounded by photographers and cameramen as he arrived.
Throughout his campaign, Mr Bain insisted that only a local candidate can do the area of Glasgow North East justice. He promised a crackdown on crime and a fairer deal for Glasgow.
While the constituency was only created in 2005 following boundary changes, it has been represented by Labour for the past 74 years.
Mr Bain was joined by a number of supporters throughout his campaign, including Prime Minister Gordon Brown, Chancellor Alistair Darling, Scottish Labour leader Iain Gray and comedian Eddie Izzard.
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